U.S. DEPARTMENT OF AGRICULTURE 

Marketing and Regulatory Programs

Animal and Plant Health Inspection Service

Veterinary Services 

VS Guidance 8603.2 

1

Procedures for Indemnity and Compensation Claims in Cases of H5/H7 Low 

Pathogenicity Avian Influenza Infection in Poultry

1. Purpose and Background 

Title 9 of the Code of Federal Regulations (9 CFR) part 56 provides direction to States 

participating in the National Poultry Improvement Plan (NPIP) H5/H7 low pathogenicity 

avian influenza (LPAI) voluntary control program. The regulations outline the procedures 

to receive indemnity for the destruction and disposal of poultry and eggs and 

compensation for the costs of cleaning and disinfection after confirmation of infection with 

or exposure to an H5/H7 LPAI virus. This document provides specific guidance on the 

procedures and documentation required to receive indemnity and compensation and 

ensures a common and consistent approach in the payment of indemnity for LPAI claims 

throughout the United States.

On September 26, 2006, the Animal and Plant Health Inspection Service (APHIS) published 

an interim rule, “Low Pathogenicity Avian Influenza; Voluntary Control Program and 

Payment of Indemnity.” The rule added parts 56 and 146 to title 9 of the CFR. It also 

established the NPIP H5/H7 LPAI program in commercial poultry and set conditions for 

indemnity for poultry infected or exposed to H5/H7 LPAI. APHIS finalized these changes in 

rules passed amending the NPIP regulations in 2016 and 2018. 

For poultry owners within a State to be eligible for indemnity under part 56, the NPIP 

Official State Agency (OSA) must have an APHIS Veterinary Services (VS)-approved Initial 

State Response and Containment Plan (ISRCP) in place. The ISRCP provides detailed 

procedures for responding to an H5/H7 LPAI event in the State. More information on the 

development and approval of ISRCPs can be found in VS Guidance 8601.2, Development 

and Approval of Initial State Response and Containment Plansfor H5/H7 Low Pathogenicity 

Avian Influenza.

The regulations at 9 CFR 56.4 describe the procedures for determining indemnity amounts 

for destruction and disposal of poultry and eggs and the cleaning and disinfection of 

premises, conveyances, and materials that came into contact with poultry infected with or 

exposed to H5/H7 LPAI.

Part 56 and the following procedures apply to all domesticated poultry infected with H5/H7 

LPAI, including commercial flocks, live bird marketing system participants, upland game 

bird and waterfowl farms, and backyard flocks. States are responsible for requesting 

Federal assistance under part 56 if needed in the event of an outbreak of H5/H7. Indemnity 
U.S. DEPARTMENT OF AGRICULTURE 

Marketing and Regulatory Programs

Animal and Plant Health Inspection Service

Veterinary Services 

VS Guidance 8603.2 

2

is not guaranteed, even if States meet indemnification requirements, but depends on the 

availability of funds.

This guidance document represents the Agency’s position on this topic and is intended 

solely as guidance. It does not have the force and effect of law, does not create or confer 

any rights for or on any person, and does not bind the U.S. Department of Agriculture 

(USDA) or the public. Language suggesting that this guidance is mandatory (e.g., “shall,” 

“must,” “required”, or “requirement”) should not be construed as binding unless the terms 

quote from a statutory or regulatory requirement. The information this document contains 

may be made available to the public. While this document provides guidance for users 

outside VS, VS employees may not deviate from the directions provided herein without 

appropriate justification and supervisory concurrence.

2. Document Status 

 

A. Review date: 5/31/2023.

B. This document replaces Veterinary Services Guidance 8603.1. 

 

3. Reason for Reissuance 

VS is reissuing this guidance to reflect changes in procedure and structure.

4. Authority and References 

 

A. Authorities (Code of Federal Regulations (CFR)):

• 7 CFR 371.4

• 9 CFR part 56

• 9 CFR 71.10

• 9 CFR part 145

• 9 CFR part 146

B. References: 

• VS Guidance 8601.2, Development and Approval of Initial State Response and 

Containment Plans for H5/H7 Low Pathogenicity Avian Influenza

• VS Guidance 8602.2, Response, Communications, and Investigation of Avian Influenza 

(AI) in Domestic Poultry

• VS Form 1-23, “Appraisal and Indemnity Claim for Animals Destroyed/Materials 

Destroyed” (8/18) 

5. Audience 

VS employees, other Federal and State agencies, and members of the public.
U.S. DEPARTMENT OF AGRICULTURE 

Marketing and Regulatory Programs

Animal and Plant Health Inspection Service

Veterinary Services 

VS Guidance 8603.2 

3

6. Guidance 

A. Confirmation and Response to H5/H7 LPAI 

The National Veterinary Services Laboratories (NVSL) must confirm LPAI infection 

before VS approves any indemnity or compensation funding. VS Guidance 8602.2

provides information on response activities that should be followed during a LPAI 

event.

1) After an H5/H7 non-negative result is disclosed and while NVSL confirms, the Area 

Veterinarian in Charge (AVIC) contacts the appropriate Avian Health staff officer to 

discuss the potential need for and eligibility of the affected flock for indemnity.

2) The State consults with industry, stakeholders, and VS regarding whether to 

depopulate. VS must concur with the State approach to controlling H5/H7 LPAI 

before it authorizes indemnity funds. Destruction of poultry is not the only possible 

response to H5/H7 LPAI; quarantine with controlled marketing or quarantine with 

vaccination also may be appropriate. VS encourages the use of controlled 

marketing in the absence of virus, or when the specific situation allows time to 

achieve a virus-negative status. VS recommends that the State and/or owner of the 

affected flock fill out the Indemnity and Compensation Decision Determination 

(Appendix 1) form and submit it to the AVIC so that VS can determine the 

disposition of the flock as soon as possible. This document serves as the official 

request for indemnity and compensation funds as required by 9 CFR 56.2(c).

3) VS develops a flock plan for all premises with confirmed LPAI infection or exposure. 

(See Flock Plan template.)

a. The flock plan sets out the steps to eradicate H5/H7 LPAI from a flock and to 

prevent its spread to other flocks. It also specifies the procedures required to 

get the facility back into production, including requirements for quarantine 

release.

b. The flock plan includes cleaning and disinfection (virus elimination) 

requirements but does not require cost estimates. The flock plan must be 

developed according to the requirements in 9 CFR 56.5 and the State ISRCP.

c. A signed flock plan must be in place before VS can compensate owners for 

depopulation, disposal, materials destroyed, or virus elimination.

4) The premises owner must work with VS to develop a compliance agreement if 

personnel other than Federal or State officials (or the OSA) performs the 

depopulation and disposal, and the owner seeks compensation for those activities.
U.S. DEPARTMENT OF AGRICULTURE 

Marketing and Regulatory Programs

Animal and Plant Health Inspection Service

Veterinary Services 

VS Guidance 8603.2 

4

a. A compliance agreement is separate from the flock plan. The flock plan specifies 

the necessary procedures for the premises to resume normal production; a 

compliance agreement indicates what tasks will be completed, who will be 

responsible for each task, and how much the work is expected to cost. A 

compliance agreement is comparable to a statement of work produced for a 

contract and is also referred to as a detailed financial plan.

b. A signed compliance agreement is required before beginning any work for 

which indemnity funds will be requested. Work initiated prior to written 

approval may not be reimbursed. VS has field reimbursement specialists 

available to help producers develop compliance agreements.

c. If VS approves funds for cleaning and disinfecting the premises, VS calculates

the funds using the current virus elimination flat rate.

B. Appraisal and Initial Request for Indemnity 

1) Initial Indemnity Request Package

To be eligible for indemnity under 9 CFR part 56, the Appraisal and Indemnity 

Request Form (Appendix 2) must be signed by the owner and grower (if applicable) 

and received by the VS AVIC before destruction of the poultry, unless the owners, 

the OSA, and VS Deputy Administrator agree in writing that the poultry must be 

destroyed immediately. 

a. Once VS determines that a flock is to be depopulated, the VS Field Operations 

(FiOps) District case manager or field reimbursement specialist should have the 

owner and grower (if applicable) of the poultry each sign an Appraisal and 

Indemnity Request Form (Appendix 2).

b. The case manager or field reimbursement specialist collectsthe current poultry 

and egg inventory records from the owner and grower (if applicable).

c. Submit a copy of the completed and signed Appraisal and Indemnity Request 

Form and copies of the poultry and egg inventory records to the Avian Health 

staff as soon as possible. Store the original copies at the local VS office. 

2) If the owner requests compensation for depopulation, disposal, and/or cleaning 

and disinfection/virus elimination activities, the State should submit a formal 

request through the AVIC to the Avian Health staff before the owner starts any 

activities for which compensation is requested. VS recommends using the 

Indemnity and Compensation Decision Determination Form (Appendix 1) for this 

purpose.
U.S. DEPARTMENT OF AGRICULTURE 

Marketing and Regulatory Programs

Animal and Plant Health Inspection Service

Veterinary Services 

VS Guidance 8603.2 

5

C. Determination of Indemnity Amounts 

1) For commercial poultry and most other flocks, bird and egg values are determined 

using the currently approved fair market value determination tool.

2) For birds to be indemnified within the Live Bird Marketing System:

a. Appraisal of birds in a retail market is based on the wholesale purchase price of 

the birds, not the price at which the birds are being sold in the market. 

b. Appraisal of birds located at a wholesaler or distributor premises is based on 

the purchase price of the birds at the production level. 

c. Appraisal of birds located at an LBMS producer premises is based on the fair 

market value of the birds as determined by current wholesale value considering 

age, class of bird, and production time. 

d. While receipts are the best method of valuing birds within the LBMS, if receipts 

are not available, conduct a survey of relevant wholesalers to determine 

comparable value.

3) If the flock can be control marketed, VS pays the following for indemnity and 

compensation:

a. No indemnity or compensation for depopulation activities is paid for poultry 

moved by controlled marketing.

b. One hundred (100) percent of HPAI compensation/flat rates for disposal 

(materials), materials destroyed, and virus elimination in all occupied houses.

4) If the flock cannot be control marketed or depopulated via slaughter, VS pays the 

following for indemnity and compensation:

a. One hundred (100) percent indemnity and depopulation costs, except 

for poultry that are described by the categories in 5) a-c below. .

b. One hundred (100) percent of HPAI compensation/flat rates for disposal 

(materials), materials destroyed, and virus elimination in all occupied houses, 

except for poultry that are described by the categories in 5) a-c below.

5) If the poultry are from flocks that are described in the following three categories, 

VS will pay twenty-five (25) percent of indemnity and compensation for 

depopulation, disposal or destruction of materials, and virus elimination activities: 

a. A breeding flock that participates in any NPIP program, but that does not 

participate in the U.S. Avian Influenza Clean or the U.S. H5/H7 Avian Influenza 

Clean program of the Plan available to the flock in 9 CFR part 145. 
U.S. DEPARTMENT OF AGRICULTURE 

Marketing and Regulatory Programs

Animal and Plant Health Inspection Service

Veterinary Services 

VS Guidance 8603.2 

6

b. A flock or slaughter plant that does not participate in the U.S. Avian Influenza 

Monitored program available to the commercial flock or slaughter plant in 9 

CFR part 146.

c. A flock located in a State that does not participate in the diagnostic surveillance 

program for H5/H7 LPAI or that does not have an Initial State Response and 

Containment Plan for H5/H7 LPAI that is approved by APHIS under 9 CFR 56.10, 

unless such poultry participate in the Plan with another State that does 

participate in the diagnostic surveillance program for H5/H7 LPAI, as described 

in 9 CFR 146.14, and has an Initial State Response and Containment Plan for 

H5/H7 LPAI that is approved by APHIS under 9 CFR 56.10.

6) Note that percentages paid for LPAI indemnity and compensation may be adjusted 

up or down in the future, based on available funds and APHIS’ need to control LPAI.

7) Requirement for Split Payments

a. The regulations at 9 CFR 56.8 require splitting indemnity payments for poultry 

and eggs destroyed due to LPAI between the owner of the poultry and/or eggs 

and the grower. In cases where the destroyed poultry and/or eggs were 

produced by a contract grower, VS splits the appraised value of the poultry 

and/or eggs between the poultry owner and contract grower based on the 

contract in place at the time of the LPAI detection, or using the following 

formula:

1. Divide the value of the contract the owner entered into with the grower for 

the growing and care of the poultry or eggs (in dollars) by the duration of 

the contract (i.e., number of days in the contract duration) as it was signed 

prior to the outbreak.

2. Multiply this value by the number of days between the date the grower 

started to provide services for the destroyed poultry or eggs and the date 

the poultry or eggs were destroyed. This is the maximum amount of Federal 

indemnity the grower is eligible to receive if Federal indemnity is approved 

for the destroyed poultry or eggs.

3. If the grower received any payment from the owner under his or her 

contract prior to the date when the poultry or eggs are destroyed, then the 

Federal indemnity the contract grower is eligible to receive will be reduced 

by this amount.

4. If Federal indemnity is approved for the destroyed birds and/or eggs, the 

poultry owner receives the difference between the total indemnity shown 
U.S. DEPARTMENT OF AGRICULTURE 

Marketing and Regulatory Programs

Animal and Plant Health Inspection Service

Veterinary Services 

VS Guidance 8603.2 

7

on the VS 1-23 (Appraisal and Indemnity Claim Form) and the total 

indemnity paid to the contract grower.

5. In the event that determination of indemnity to a party with which the 

owner of destroyed poultry or eggs has entered into a contract for the 

growing or care of the poultry using the method described in 1 to 4 of this 

section is determined to be impractical or inappropriate, VS may use any 

other method for split payments that the Administrator deems appropriate.

6. All parties have the right to dispute the proposed split Federal indemnity 

payment by notifying the APHIS Administrator in writing. The APHIS 

Administrator has the final authority for determining Federal indemnity 

payments.

b. Once VS determines the total appraisal amount, the owner of the birds is asked 

to fill out the Contract Grower Worksheet (Appendix 3). The owner provides

the amount of the indemnity due to the grower based on the contract in place 

at the time of the LPAI detection and the process used to determine that 

amount. If in agreement, the grower signs the form. If the grower does not 

agree to the payment proposed by the owner, VS requests a copy of the 

contract and determines the appropriate split.

c. The completed and signed Contract Grower Worksheet is sent to the Avian 

Health staff, who complete two VS 1-23 forms, one each for the owner and 

grower, and send them to the case manager or field reimbursement specialist 

to obtain owner and grower signatures.

d. The case manager or field reimbursement specialist sends the signed VS 1-23 

forms to the FiOps District Budget Staff for processing and payment.

8) Development of a Compliance Agreement

a. The signatories should start developing the compliance agreement as soon as 

an H5/H7 LPAI exposure or infection is considered highly likely. 

b. The compliance agreement should be specific enough to accurately estimate 

costs. List costs by activity. Suggested activities that a compliance agreement 

for depopulation and disposal should cover include:

1. Labor and materials to pen the birds for depopulation.

2. Estimated costs for labor and materials required to depopulate the birds, 

including costs of foam, CO2, etc. 
U.S. DEPARTMENT OF AGRICULTURE 

Marketing and Regulatory Programs

Animal and Plant Health Inspection Service

Veterinary Services 

VS Guidance 8603.2 

8

3. Composting – labor cost per hour and number of hours to complete, cost 

of any additional carbon sources needed, fuel for equipment, and any 

equipment rental required. 

4. Landfill – costs for labor, trucking, and disposal.

5. Litter (bedding material)/compost removal or disposal – labor cost per hour 

and number of hours to complete, fuel for equipment, and any equipment 

rental required.

c. Write the compliance agreement with guidance from the OSA and VS. VS 

recommends working with a VS field reimbursement specialist on this 

document to ensure that costs are allowable and properly documented.

D. Indemnity Claims for Depopulation of Poultry and/or Eggs 

After NVSL confirmation and VS approval of indemnity and/or compensation: 

1) Approval of Indemnity Request Package

Once the owner and/or grower sign the Appraisal and Indemnity Request Form 

and send it to the AVIC, depopulation activities may begin.

2) Destruction of Poultry and Eggs

b. Poultry and eggs must be destroyed in accordance with the State’s ISRCP and 

in consultation with VS. 

b. Depopulation of poultry should be conducted by State or Federal personnel, or 

under their direct supervision. 

3) Compensation provided to the State and/or the OSA

a. VS may reimburse the State and/or OSA for costs associated with a confirmed 

H5/H7 LPAI infection under a cooperative agreement. 

c. Reimbursable costs include those incurred by the OSA for depopulation and 

disposal, and area-enhanced surveillance in accordance with the State’s ISRCP. 

d. The State and/or OSA should contact the Avian Health staff as soon as it 

determines that a cooperative agreement will be requested for information on 

developing a work plan, the allowable costs, and the records that will be 

required for reimbursement.

d. See the document “Financing the Response: State/Tribal Information” for 

details on the costs that may be reimbursed and a cooperative agreement 

template. 
U.S. DEPARTMENT OF AGRICULTURE 

Marketing and Regulatory Programs

Animal and Plant Health Inspection Service

Veterinary Services 

VS Guidance 8603.2 

9

E. Compensation Claims for Cleaning and Disinfection 

1) Compensation for cleaning and disinfecting premises, conveyances, and materials 

that came into contact with poultry infected with or exposed to H5/H7 LPAI will be 

based on the virus elimination flat rates in place at the time of the detection.

2) In the case of materials, if the cost of cleaning and disinfection exceeds the value 

of the materials, or cleaning and disinfection would be impractical, VS bases

indemnity for the destruction and disposal of the materials on the appraised fair 

market value of those materials. Materials are appraised by a field reimbursement 

specialist or a designated VS official appraiser. Materials should not be 

disassembled or destroyed prior to obtaining a signed appraisal for the materials.

3) Cleaning and Disinfection

a. Before starting cleaning and disinfection, the premises to be cleaned should be 

closely inspected by the producer, OSA officials, and VS to determine if there 

are materials present for which cleaning and disinfection would be impractical 

such as curtains or light traps (devices that prevent light from entering poultry 

barns around fans or other fixtures). 

b. Any items identified as impractical to clean and disinfect must be appraised and 

the fair market values and disposal costs indicated in the compliance 

agreement.

c. If, during cleaning and disinfection, items not identified during the inspection 

are found impractical to clean or are becoming damaged during normal 

cleaning, stop cleaning. The producer should contact the OSA or VS to arrange 

for an immediate inspection and appraisal. 

F. Routing of Documents 

1) Completed compliance agreements must be signed by the claimant and the Avian 

Health staff before starting any work for which indemnity is to be claimed under 

the agreement. 

2) Once work has been completed, forward receipts and documentation detailing 

depopulation and disposal activities specified in the compliance agreement to the 

Avian Health staff for review and approval of appropriate reimbursable activities 

and rates. Submit all documentation to the Avian Health staff no later than thirty

(30) days after the formal quarantine release of the infected or exposed premises. 

Once reviewed by the Avian Health staff for completeness, submit the entire 

package to the AVIC for final approval and payment processing by the District 

administrative officer. 
U.S. DEPARTMENT OF AGRICULTURE 

Marketing and Regulatory Programs

Animal and Plant Health Inspection Service

Veterinary Services 

VS Guidance 8603.2 

10

G. Non-reimbursable Indemnity and Compensation Claims 

VS will not approve indemnity claims submitted for the following costs: 

1) Costs for indemnity for birds or eggs depopulated before receiving NVSL 

confirmation and written approval from VS.

2) Costs for depopulation, disposal, cleaning and/or disinfection/virus elimination 

incurred before receipt of a signed compliance agreement.

3) Costs not approved by the signed compliance agreement or its amendments.

4) Damage to property by personnel performing the work in the compliance 

agreement unless they are Federal employees. 

5) Work not specified in the State ISRCP. Any deviation from the accepted ISRCP must 

be authorized in writing by VS and the OSA. 

6) Work not associated with LPAI exposure or infection. 

7) Infection or exposure caused by actions not in accordance with 9 CFR part 56, the 

ISRCP, or the signed flock plan. 

7. Inquiries 

Please contact VS Avian Health staff at (919) 855-7258 with any questions. 

Appendix 1: Indemnity and Compensation Decision Determination

Appendix 2A: Appraisal and Indemnity Request Form for Poultry Owner

Appendix 2B: Appraisal and Indemnity Request Form for Contract Grower

Appendix 3A: Contract Grower Worksheet for Meat Birds

Appendix 3B: Contract Grower Worksheet for Layers

Appendix 4: Payment Processing Information for USDA APHIS VS LPAI Indemnity Claims 

(DUNS numbers and SAM registration)

Appendix 5: Criteria for Release of H5/H7 Control Marketed/Slaughtered Flocks
U.S. DEPARTMENT OF AGRICULTURE 

Marketing and Regulatory Programs

Animal and Plant Health Inspection Service

Veterinary Services 

VS Guidance 8603.2 

 

APPENDIX 1: INDEMNITY AND COMPENSATION DECISION DETERMINATION 

1. Please list all of the current test results available for this premises. For PCR, please list the 

Ct values:

______________________________________________________________________________

______________________________________________________________________________

____________________________________________________________

 

2. Are there multiple ages of birds on the farm? (Y) (N)

List the bird groups and ages and indicate if they would likely have time to clear the virus prior to 

humane issues occurring:

______________________________________________________________________________

______________________________________________________________________________

______________________________________________________________________________

______________________________________________________

3. List the number of commercial premises in the following zones surrounding the infected 

premises: 

a. Within 1km (neighboring) _________________________

b. Within 3km (Infected Zone) ________________________

c. Within 10 km (Buffer Zone) ________________________

4. What are the estimated number of additional at-risk premises not included in the 

numbers above (this would include premises closely related by the network, business 

processes, or those identified by trace-in/trace-out): 

________________________________________________

5. Where do these birds usually go for processing? 

a. In State or out of State (provide State if out of State) _________________________

b. Approximate distance to plant (in miles) ____________________________

c. Can a route to the plant be planned that avoids other poultry premises?

d. Any reason why the birds, once PCR negative, could NOT go to this plant? Please 

explain. 

__________________________________________________________________

__________________________________________________________________

__________________________________________________________________

6. List any significant trade impacts of control marketing/slaughtering this flock:

______________________________________________________________________________

______________________________________________________________________________
U.S. DEPARTMENT OF AGRICULTURE 

Marketing and Regulatory Programs

Animal and Plant Health Inspection Service

Veterinary Services 

VS Guidance 8603.2 

______________________________________________________________________________

______________________________________________________

7. List any other reasons why control marketing/depopulation via slaughter may not be a 

viable option for this flock (this may include other LPAI or HPAI circulating at the time):

______________________________________________________________________________

______________________________________________________________________________

______________________________________________________________________________

______________________________________________________

8. Please Indicate the State and/or Industry recommendation for the management for this 

flock: Controlled marketing, depopulation via slaughter, onsite depopulation, or a 

combination based on flock characteristics. Please indicate your reasoning for this 

recommendation.

________________________________

_______________________________________

______________________________________________________________________________

______________________________________________________________________________

______________________________________________________________________________

______________________________________________________________________________

______________________________________________________________________________

______________________________________________________________________________

____________________________________

9. Please indicate the approximate indemnity and or compensation being requested for this 

flock (for owner and/or grower): 

a. Indemnity $__________________

b. Depopulation and disposal $________________

c. Virus elimination $________________________

(A Field Reimbursement Specialist or Avian Indemnity Team member can assist with estimates)

 

 

 

 

 

 

 

 

 

 

 

 
U.S. DEPARTMENT OF AGRICULTURE 

Marketing and Regulatory Programs

Animal and Plant Health Inspection Service

Veterinary Services 

VS Guidance 8603.2 

Signature(s) and title(s) of official making the above recommendation. (State and Industry can 

submit separate forms or a joint form.) 

 

Signature

Title

Signature

Title

 

USDA APHIS VS Determination: 

______________ Approve controlled marketing plan as recommended above. 

______________ Approve onsite depopulation as recommended above.

______________ USDA/APHIS VS is NOT in agreement with the recommendation above.

Reason for difference in agreement: 

______________________________________________________________________________

______________________________________________________________________________

______________________________________________________________________________

______________________________________________________________________________

_____________ More Information is needed. 

A decision will be made within 48 hours once the information requested below is provided. (Enter 

information needed here.)

______________________________________________________________________________

______________________________________________________________________________

______________________________________________________________________________

______________________________________________________________________________

Indemnity approved at __________________

Depopulation approved at _______________

Disposal, materials destroyed and VE approved at _____________

Signature of USDA APHIS VS ICG Official: 

______________________________________________________________________________

Printed name and title of signatory: ________________________________________________
Poultry Owner A&I Request Form

U.S. DEPARTMENT OF AGRICULTURE 

Marketing and Regulatory Programs

Animal and Plant Health Inspection Service

Veterinary Services 

VS Guidance 8603.2 

APPENDIX 2A- DRAFT FOR POULTRY OWNER 

Appraisal and Indemnity Request for LPAI-Affected Premises

Other information requested in the mini memo can be added to this or may stand alone.

Premises ID where birds are located:

LPAI presumptive positive date:

Address where birds are located:

Poultry Owner Name, Address, Phone and E-mail Address:

Referred to in this document as the “Owner or Poultry Owner”

The State Official or Tribal Official and APHIS Official have determined that poultry on this premises 

are affected by LPAI. Poultry on this premises will be depopulated by State and/or APHIS and/or 

industry personnel. Indemnity for destroyed poultry and eggs affected by LPAI will be based on 

their fair market value, as determined by the current USDA APHIS indemnity calculators and 

subject to the Indemnity percentage approved on the Appendix D form.

In cases where the destroyed poultry and/or eggs were produced by a Contract Grower, the 

appraised value of the poultry and eggs will be split between the Poultry Owner and Contract 

Grower based on the following formula:

1. Divide the value of the contract the Owner entered into with the Grower for the 

growing and care of the poultry or eggs (in dollars) by the duration of the contract 

(i.e., number of days in the contract duration) as it was signed prior to the outbreak.

2. Multiply this value by the number of days between the date the Grower started to 

provide services for the destroyed poultry or eggs and the date the poultry or eggs 
Poultry Owner A&I Request Form

U.S. DEPARTMENT OF AGRICULTURE 

Marketing and Regulatory Programs

Animal and Plant Health Inspection Service

Veterinary Services 

VS Guidance 8603.2 

were destroyed. This is the maximum amount of federal indemnity the Control Grower 

is eligible to receive, if federal indemnity is approved for the destroyed poultry or eggs.

3. If the Grower has received any payment from the Owner under his/her contract prior 

to the date when the poultry or eggs are destroyed, then the federal indemnity the 

Contract Grower is eligible to receive will be reduced by this amount.

4. If federal indemnity is approved for the destroyed birds and/or eggs, the Poultry 

Owner will receive the difference between the total indemnity shown on the VS 1-23 

Appraisal and Indemnity Claim Form and the total indemnity paid to the Contract 

Grower.

5. In the event that determination of indemnity to a party with which the Poultry Owner 

of destroyed poultry or eggs has entered into a contract for the growing or care of the 

poultry using the method described in 1 to 4 of this section is determined to be 

impractical or inappropriate, APHIS may use any other method for split payments that 

the Administrator deems appropriate.

6. I understand that I have the right to dispute the proposed split federal indemnity 

payment by notifying the APHIS Administrator in writing; the APHIS Administrator has 

the final authority for determining federal indemnity payments.

Poultry Owner—Initial 1–5 and sign below:

 

1.

At the time of the outbreak, there was, to the best of my knowledge, a biosecurity plan 

that was followed to prevent the introduction of LPAI.

 

2.

I understand that the poultry on the premises will be depopulated in the most humane 

manner possible.

 

3.

I will provide barn and mortality records that verify the current inventory of poultry and 

eggs on the premises, which includes the number, age, and molt status (if applicable) of 

the birds and the total number of eggs that must be destroyed.

 

4.

I agree to accept the fair market value of the birds, as determined by the APHIS calculator, 

according to the inventory on the premises at the time this document is signed and subject 

to the Indemnity percentage approved on the Appendix D form.

 

5.

I agree to provide APHIS with a copy of the current contract executed between the parties 

as well as any supporting documentation deemed necessary by APHIS to determine 

appropriate division of the indemnity payment. This includes any checks or statements 

indicating partial payments or advances already paid in association with the destroyed 

birds or eggs.
Poultry Owner A&I Request Form

U.S. DEPARTMENT OF AGRICULTURE 

Marketing and Regulatory Programs

Animal and Plant Health Inspection Service

Veterinary Services 

VS Guidance 8603.2 

Poultry Owner Signature:

Printed Name of Poultry Owner:

Date:

Title:
Contract Grower A&I Request Form

U.S. DEPARTMENT OF AGRICULTURE 

Marketing and Regulatory Programs

Animal and Plant Health Inspection Service

Veterinary Services 

VS Guidance 8603.2 

APPENDIX 2B- DRAFT FOR CONTRACT GROWER 

Appraisal and Indemnity Request for LPAI-Affected Premises

Other information requested in the mini memo can be added to this or may stand alone.

Premises ID where birds are located:

LPAI presumptive positive date:

Address where birds are located:

Contract Grower Name, Address, Phone and E-mail Address:

Referred to in this document as the “Grower or Contract Grower”

The State Official or Tribal Official and APHIS Official have determined that poultry on this premises 

are affected by LPAI. Poultry on this premises will be depopulated by State and/or APHIS and/or 

industry personnel. Indemnity for destroyed poultry and eggs affected by LPAI will be based on 

their fair market value, as determined by the current USDA APHIS indemnity calculators and 

subject to the Indemnity percentage approved on the Appendix D form.

In cases where the destroyed poultry and/or eggs were produced by a Contract Grower, the 

appraised value of the poultry and eggs will be split between the Poultry Owner and Contract 

Grower based on the following formula:

1. Divide the value of the contract the Owner entered into with the Grower for the 

growing and care of the poultry or eggs (in dollars) by the duration of the contract 

(i.e., number of days in the contract duration) as it was signed prior to the outbreak.

2. Multiply this value by the number of days between the date the Grower started to 

provide services for the destroyed poultry or eggs and the date the poultry or eggs 

were destroyed. This is the maximum amount of federal indemnity the Control 
Contract Grower A&I Request Form

U.S. DEPARTMENT OF AGRICULTURE 

Marketing and Regulatory Programs

Animal and Plant Health Inspection Service

Veterinary Services 

VS Guidance 8603.2 

Grower is eligible to receive, if federal indemnity is approved for the destroyed 

poultry or eggs.

3. If the Grower has received any payment from the Owner under his/her contract 

prior to the date when the poultry or eggs are destroyed, then the federal indemnity 

the Contract Grower is eligible to receive will be reduced by this amount.

4. If Federal indemnity is approved for the destroyed birds and/or eggs, the Poultry 

Owner will receive the difference between the total indemnity shown on the VS 1-

23 Appraisal and Indemnity Claim Form and the total indemnity paid to the Contract 

Grower.

5. In the event that determination of indemnity to a party with which the Poultry 

Owner of destroyed poultry or eggs has entered into a contract for the growing or 

care of the poultry using the method described in 1 to 4 of this section is determined 

to be impractical or inappropriate, APHIS may use any other method for split 

payments that the Administrator deems appropriate.

6. I understand that I have the right to dispute the proposed split federal indemnity 

payment by notifying the APHIS Administrator in writing; the APHIS Administrator 

has the final authority for determining federal indemnity payments.

Contract Grower—Initial 1–5 and sign below:

 

1.

At the time of the outbreak, there was, to the best of my knowledge, a biosecurity plan 

that was followed to prevent the introduction of LPAI.

 

2.

I understand that the poultry on the premises will be depopulated in the most humane 

manner possible.

 

3.

I will provide barn and mortality records that verify the current inventory of poultry and 

eggs on the premises, which includes the number, age, and molt status (if applicable) of 

the birds and the total number of eggs that must be destroyed.

 

4.

I agree to accept the fair market value of the birds, as determined by the APHIS calculator, 

according to the inventory on the premises at the time this document is signed and subject 

to the Indemnity percentage approved on the Appendix D form.

 

5.

I agree to provide APHIS with a copy of the current contract executed between the parties 

as well as any supporting documentation deemed necessary by APHIS to determine 

appropriate division of the indemnity payment. This includes any checks or

statements indicating partial payments or advances already paid in association with the 

destroyed birds or eggs.
Contract Grower A&I Request Form

U.S. DEPARTMENT OF AGRICULTURE 

Marketing and Regulatory Programs

Animal and Plant Health Inspection Service

Veterinary Services 

VS Guidance 8603.2 

Contract Grower Signature:

Printed Name of Contract Grower:

Date:

Title:
Contract Grower Worksheet for Meat Birds

U.S. DEPARTMENT OF AGRICULTURE 

Marketing and Regulatory Programs

Animal and Plant Health Inspection Service

Veterinary Services 

VS Guidance 8603.2 

APPENDIX 3A – MEAT BIRDS 

To be completed and signed by the Company Representative and then signed by the Contract 

Grower.

A copy of the contract and additional documents may be required to determine payment 

amounts if the Company and Grower are in disagreement on the amount due.

Premises ID where birds are located:

Address where birds are located:

Contract grower name:

Name of company that owns the birds:

For each age group of birds, provide the following information: 

 

 

Barn or 

Flock 

Number

 

Age of 

birds

(in days)

Expected

Bird 

Load-out 

Date

Grand Total 

Contract 

Amount 

Expected to 

be Paid to 

the Grower 

for Birds

 

Process Used to Determine 

Expected Contract 

Payment*

Determine appropriate payment amounts based on the contract in place with the 

grower for the birds depopulated. *(e.g., price per bird and average load out 

numbers, flat rate, average of last flocks, etc.)
Contract Grower Worksheet for Meat Birds

U.S. DEPARTMENT OF AGRICULTURE 

Marketing and Regulatory Programs

Animal and Plant Health Inspection Service

Veterinary Services 

VS Guidance 8603.2 

Signatures 

Company Representative Signature: Date:

By signing below, the contract grower agrees that the payments listed above represent fair 

compensation for work performed towards the rearing of the depopulated flocks.

Contract Grower Signature: Date:

 

To be completed by the USDA/State Case Manager:

Depopulation Start Date : Depopulation Completion Date :

Continuation Sheet 

 

 

Barn or 

Flock 

Number

 

Age of 

birds

(in days)

Expected

Bird 

Load-out 

Date

Grand Total 

Contract 

Amount 

Expected to 

be Paid to 

the Grower 

for Birds

 

Process Used to Determine 

Expected Contract 

Payment*
Contract Grower Worksheet for Meat Birds

U.S. DEPARTMENT OF AGRICULTURE 

Marketing and Regulatory Programs

Animal and Plant Health Inspection Service

Veterinary Services 

VS Guidance 8603.2 

*(e.g., price per bird and average load out numbers, flat)
Contract Grower Worksheet for Meat Birds

U.S. DEPARTMENT OF AGRICULTURE 

Marketing and Regulatory Programs

Animal and Plant Health Inspection Service

Veterinary Services 

VS Guidance 8603.2 

APPENDIX 3B – LAYERS 

To be completed and signed by the Company Representative and then signed by the Contract 

Grower.

A copy of the contract and additional documents may be required to determine payment amounts 

if the Company and Grower disagree on the amount due.

Premises ID where birds are located:

Address where birds are located:

Contract grower name:

Name of company that owns the birds:

For each age group of birds, provide the following information: 

Barn or Flock 

Number

Age of 

birds

(in days)

Eggs/Contract 

Previously Paid 

Through this Date

Amount Expected to 

be Paid to Grower for 

Eggs Produced Since 

Last Payment

 

Process Used to Determine Expected 

Contract Payment*

Determine appropriate payment amounts based on the contract in place with the grower for the 

birds depopulated and eggs destroyed. *(e.g., price per bird and average load out numbers, flat 

rate, average of last flocks, etc.)

Signatures 

Company Representative Signature: Date:

By signing below, the contract grower agrees that the payments listed above represent fair 

compensation for work performed towards the rearing of the depopulated flocks.

Contract Grower Signature: Date:
Contract Grower Worksheet for Meat Birds

U.S. DEPARTMENT OF AGRICULTURE 

Marketing and Regulatory Programs

Animal and Plant Health Inspection Service

Veterinary Services 

VS Guidance 8603.2 

To be completed by the USDA/State Case Manager:

Depopulation Start Date: Depopulation Completion Date:

 

Continuation Sheet 

Barn or Flock 

Number

Age of 

birds

(in days)

Eggs/Contract 

Previously Paid 

Through this Date

Amount Expected to 

be Paid to Grower for 

Eggs Produced Since 

Last Payment

 

Process Used to Determine Expected 

Contract Payment*
Contract Grower Worksheet for Meat Birds

U.S. DEPARTMENT OF AGRICULTURE 

Marketing and Regulatory Programs

Animal and Plant Health Inspection Service

Veterinary Services 

VS Guidance 8603.2 

*(e.g., price per bird and average load out numbers, flat rate, average of last flocks, etc.)
1

U.S. DEPARTMENT OF AGRICULTURE 

Marketing and Regulatory Programs

Animal and Plant Health Inspection Service

Veterinary Services 

VS Guidance 8603.2 

APPENDIX 4 

PAYMENT PROCESSING INFORMATION FOR USDA APHIS VS LPAI INDEMNITY CLAIMS (DUNS NUMBERS AND 

SAM REGISTRATION)

Requirements 

Claimants (both poultry owners and contract growers) for LPAI indemnity claims must have a Dun and 

Bradstreet Data Universal Numbering System (DUNS) number and be currently registered in the System for 

Award Management (SAM) database to receive an indemnity payment from USDA APHIS. APHIS uses the DUNS 

number to comply with Federal Funding Accountability and Transparency Act (FFATA) reporting requirements. 

Further, claimants enter and maintain their banking information in SAM which is fed into APHIS’ financial 

system for payments. The DUNS is a one-time registration and SAM is an initial registration and annual 

renewal, with updates for changes, such as for banking. Some claimants may already have registered for 

business purposes. Refer to the U.S. Government Code of Federal Regulations Title 2 Grants and Agreements

for more information.

DUNS Third Party Information

Dun & Bradstreet shares data with third party service providers, and they contractually require the data only 

be used for the intended purpose of the disclosure and that it be destroyed or returned when no longer 

needed; information may also be shared for legal or internal business purposes. For additional information or 

to request removal of your name from third party marketing agreements, please contact Dun & Bradstreet 

Customer Service at 1-800-234- 3867 or send an e-mail to customerservice@dnb.com.

After you have registered in SAMS, contact your LPAI Case Manager or the APHIS VS District Office and provide 

your DUNS number. 

 

 

To be completed by the APHIS VS Case Manager or VS District Office:

APHIS VS Contact Information for LPAI Claimants: 

Name of Contact Person (Case Manager, Administrative Officer (AO), or other APHIS VS contact):

Phone:

Address:

Fax:

Additional information is also available from the APHIS Budget Team
2

U.S. DEPARTMENT OF AGRICULTURE 

Marketing and Regulatory Programs

Animal and Plant Health Inspection Service

Veterinary Services 

VS Guidance 8603.2 

DETAILED INSTRUCTIONS FOR OBTAINING A DUNS NUMBER AND SAM REGISTRATION

In order to begin the process of paying your VS 1-23 indemnity claim there are two items that producers need 

to be completed. Completion of these items is necessary for you to be able to receive payment from USDA.

STEP ONE: Obtaining a Data Universal Number System (DUNS) 

 

• What is a DUNS number? The Dun & Bradstreet (D&B) Data Universal Number System is a unique 

9 character number used to identify your organization. The Federal government uses this number 

to track how Federal money is allocated.

• How do I get my DUNS number? If you would like to register for this number you can either visit 

the Dun & Bradstreet (D&B) website at https://iupdate.dnb.com/iUpdate/confirmSource.htm or 

call 1-866-705-5711. Registration is free of charge and takes about 10 days to be activated online.

Another option is to call a PTAC (Procurement Technical Assistance Center) counselor in your State to have 

your number activated in 24–48 hours. www.aptac-us.org.

Please see the chart below to determine what information is needed for DUNS registration:

Corporations / Partnerships Sole Proprietorship (individual owners) 

• Name of organization

• Organization address

• Name of CEO or organization owner

• Legal structure of organization 

(corporation, partnership, etc.)

• Year the organization started

• Primary type of business

• Total number of employees

• Last name, First name

• Home address

• Claimant Name

• Sole Proprietorship

• Year animals were initially purchased

• Private owner

• Number of employees must be at least 

1

Commercial and Individual Claimants

Indemnities associated with commercial premises must obtain a DUNS number and register in SAMS for 

indemnity payment processing. In rare cases where an individual claimant refuses to use the DUNS/SAM 

process for LPAI indemnity payment, they may submit an EFT bank form (including Social Security Number) for 

payment processing. Please see APHIS guidance on DUNS and SAM for more information on specific 

exemptions.

Individual claimants are strongly encouraged to use the DUNS/SAM process because it allows for rapid 

payment processing and provides the greatest security for private banking information. However, the Code of 

Federal Regulations does allow this exemption for individuals:

The DUNS/SAM requirements do not apply to an individual who applies for or receives Federal financial 

assistance as a natural person (i.e., unrelated to any business or non-profit organization he or she may 

own or operate in his or her name).
3

U.S. DEPARTMENT OF AGRICULTURE 

Marketing and Regulatory Programs

Animal and Plant Health Inspection Service

Veterinary Services 

VS Guidance 8603.2 

Below is a screenshot of a company that registered for a DUNS number online. 

Below is a screenshot of the email confirmation that a DUNS number was requested online. 
4

U.S. DEPARTMENT OF AGRICULTURE 

Marketing and Regulatory Programs

Animal and Plant Health Inspection Service

Veterinary Services 

VS Guidance 8603.2 

Below is a screenshot of the email that you will receive from D&B with your new DUNS number. 
5

U.S. DEPARTMENT OF AGRICULTURE 

Marketing and Regulatory Programs

Animal and Plant Health Inspection Service

Veterinary Services 

VS Guidance 8603.2 

STEP TWO: Getting Registered in the System for Award Management (SAM) 

 

• What is the System for Award Management (SAM)? SAM is a web-based, government-wide 

application that collects, validates, stores, and disseminates business information about the 

federal government’s trading partners in support of the contract awards, grants, and the 

electronic payment processes.

• How do I get registered in SAM? Go to the SAM website: www.sam.gov/ The following 

information is needed:

• DUNS number 

• Taxpayer Identification Number (TIN) or Employment Identification Number (EIN)

• Designation of an E-biz point of contact (POC). 

Note: The E-biz POC is issued a Marketing Personal Identification Number by SAM, which gives them the 

authority to designate AOR’s. AOR’s are staff members in your organization who are allowed to submit 

applications at www.grants.gov.

1. To begin your SAMS registration, make sure you have your DUNS number ready. Begin by clicking 

on Create User Account.
6

U.S. DEPARTMENT OF AGRICULTURE 

Marketing and Regulatory Programs

Animal and Plant Health Inspection Service

Veterinary Services 

VS Guidance 8603.2 

2. You will see a “Before You Start” message. When ready, click Continue.
7

U.S. DEPARTMENT OF AGRICULTURE 

Marketing and Regulatory Programs

Animal and Plant Health Inspection Service

Veterinary Services 

VS Guidance 8603.2 

3. The next step is to complete the Purpose of the Registration.

4. After completing all the questions, you will be asked to “Confirm the Purpose” of your 

registration.
8

U.S. DEPARTMENT OF AGRICULTURE 

Marketing and Regulatory Programs

Animal and Plant Health Inspection Service

Veterinary Services 

VS Guidance 8603.2 

5. Along the way you will be asked about your core data, related to your DUNS registration.
9

U.S. DEPARTMENT OF AGRICULTURE 

Marketing and Regulatory Programs

Animal and Plant Health Inspection Service

Veterinary Services 

VS Guidance 8603.2 

6. Once the username setup is complete, you will receive an email that states the confirmation of 

your username. You must follow the instructions to CLICK THIS LINK within 48 hours of receiving 

the email to activate your account. See example below of what the email looks like. 
10

U.S. DEPARTMENT OF AGRICULTURE 

Marketing and Regulatory Programs

Animal and Plant Health Inspection Service

Veterinary Services 

VS Guidance 8603.2 

7. Once you click the link included in your email you will be brought to this screen. Enter your 

username and the password that you created.
11

U.S. DEPARTMENT OF AGRICULTURE 

Marketing and Regulatory Programs

Animal and Plant Health Inspection Service

Veterinary Services 

VS Guidance 8603.2 

8. Read over the SAMS Terms and Conditions and click Accept to continue.
12

U.S. DEPARTMENT OF AGRICULTURE 

Marketing and Regulatory Programs

Animal and Plant Health Inspection Service

Veterinary Services 

VS Guidance 8603.2 

9. After accepting the SAMS terms and conditions you will be brought to a welcome screen; see the 

sample is below. Click on Register/Update Entity.
13

U.S. DEPARTMENT OF AGRICULTURE 

Marketing and Regulatory Programs

Animal and Plant Health Inspection Service

Veterinary Services 

VS Guidance 8603.2 

10. Read through each bulleted statement and then click on Start Registration.

11. Once you have completed your SAMS registration, please contact the APHIS VS 

representative listed on the coversheet and let them know you have finished 

registering in SAMS. You will need to provide your DUNS number in order for 

processing payment.
U.S. DEPARTMENT OF AGRICULTURE 

Marketing and Regulatory Programs

Animal and Plant Health Inspection Service

Veterinary Services 

VS Guidance 8603.2 

Criteria for Release of H5/H7 Control Marketed/Slaughtered flocks For Control 

Marketed/Slaughtered flocks: 

• Weekly testing will be conducted to monitor virus shedding and cleavage site (PCR and virus 

isolation (VI)); concerning changes in amino acid sequence at the proteolytic cleavage site 

warrants immediate depopulation (i.e. evidence of mutation to HPAI);

• Collect a minimum of thirty (30) swabs per house/barn per week (PCR can be useful as the 

initial test and may screen out samples to be forwarded to NVSL for VI1);

• Serological testing may be useful to determine where each house stands with regards to 

seroconversion (based upon hemagglutination inhibition titer at NVSL); minimum of thirty 

(30) sera per house/barn.

Flocks actively shedding virus pose a greater risk of virus spread, and ongoing opportunities for 

mutation to HPAI as the virus replicates.

• This risk increases where seronegative (AGID/ELISA negative) birds are present while 

virus is being shed (e.g. IAV detection by PCR).2

• This risk decreases in flocks with waning infection/incidence where virus shedding 

has significantly decreased (e.g., all swabs representing every house/barn with birds 

on the premises have Cts greater than thirty-eight (38) by PCR). The flock has 

significant evidence of recovery (including test results for serology and virus 

isolation, review of performance records and production data to identify the time of 

infection, clinical presentation, etc.).

Criteria for movement: Per 9 CFR 56.5 part 56.5 (c)(ii) – Within seven (7) days prior to slaughter, 

each flock to be moved for controlled marketing must be tested for H5/H7 LPAI using a test approved 

by the Cooperating State Agency and found to be free of the virus:

o Virus status may be determined by lack of nucleic acid detection by PCR direct from 

swabs or from negative virus isolation;

o Detection of nucleic acid from non-viable virus is possible, especially where 

significant seroconversion has already occurred. Therefore, the final determination 

of virus status may be established through assessing the risk of movement (e.g., 

factors covered in Appendix 1, test results and production/ performance records) 

and agreement among Federal, State, and industry partners.

1 VI attempt requires six (6) days for a single pass followed by PCR at NVSL.

2 The rRT-PCR used to detect IAV is semiquantative; the lower the cycle threshold (Ct) value, the 

more viral nucleic acid was detected.